I want to purchase a BMW 135i coupe. What is the most effective way to go about negotiating a deal? How can I get the car as close to invoice pricing as possible. I would prefer not financing and definitely not leasing. Will paying with cash affect a deal in a positive way?

Perhaps the incentives/discounts depend on the type of finance deal you can get. Is it a possibility to pay maybe 42k outright in cash or perhaps 41k for the car configured at $44,395. Financing does involve interest as well.

there is no benefit to a cash buy. whether you finance or pay cash, the dealership is being paid in full. as long as you get a great finance rate, financing is the better route to go.

the best way to negotiate a deal is to contact several dealerships and ask for their best price. once they give you a good price, ask them to email you the bid. you then go and shop around the bid to the other dealerships and find a price your comfortable with.

The dealers make big money on the financing and would not have to bother with the cash. Any cash purchase over 10K has to be reported to the feds as part of the anti money laundering rules.. Shop via the internet. Get solid quotes from all the local dealers.

I ordered a 2013MY last June. MSRP was $44,445, but I paid $41,000 before tax/registration ($41,500 invoice + $500 to dealer - $1000 manufacturer cash back). You should also be able to negotiate within a few hundred of invoice.

Long story short. He was a huge black male. Probably 6'2" or taller and 250 lbs. He was angry as hell, and I am a tiny 5'4 white male. So, I did the only thing I could, I threw my car into reverse and no one was behind me, and I drove thru the red light as I went around him.

it applies to household, if theres a BMW registered at his address he gets the rebate

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Originally Posted by MWM1166

Long story short. He was a huge black male. Probably 6'2" or taller and 250 lbs. He was angry as hell, and I am a tiny 5'4 white male. So, I did the only thing I could, I threw my car into reverse and no one was behind me, and I drove thru the red light as I went around him.

If you have access to a car-buying service (USAA, ZAG, Truecar, etc...), then let them set a price first. I got very aggressive pricing on my car from USAA then worked it down from there.

I shopped my bottom line price around which I already had from another dealer, and nobody else would come close, so I had to buy from a dealership somewhat far away (and there's a bmw dealership 15 seconds from where I live).

Also realize that even though it is "invoice", there are still holdbacks built into the price. For example, my 2011 STI that i had before this, the sales manager admitted to me that included in invoice is a $3800 holdback for the selling dealership. Anything above invoice is just more profit for them. Of course, the holdback will likely vary based on model/price/etc but they are for sure there in any new car you buy.

Can i ask why you want to buy brand new and not consider a lightly used car? Especially with the BMW brand, there is a HUGE depreciation in the first 1-2 years of ownership, mainly associated with leases and the ebb-and-flow of lease returns IMO. I saved over 14k going with a 2year old car with 24k miles that fit my wants and needs exactly. If you can be patient and do some homework, you can get essentially the car you want with the options you want for 3/4 or even 2/3 the price you would have paid brand new.

Make it easy and start at invoice and work from there. $500 over is pretty good but doable.
They will whine about it but you should be able to get that deal done.
Its very difficult to negotiate holdback. That's how the dealer makes money even selling the car at or near invoice.
Also check for an incentives, There were none when I bought mine last year but you never know.
Edmunds.com is your friend.

Shop around. You can negotiate over the phone if you are going to place an order and save a wasted trip to a dealer that wants to over charge. Call around and ask if they will sell you a car for $500 over invoice, and ask about prep fee, doc fee, and any other fees that they will add, and then go build your car. Check incentive programs for any special offers. The BMW lists these under Sales and Programs. This can save you some money if you qualify. Negotiate your final price before adding any program incentives to reduce your price. This keeps it simple and fair. Spec the car on the BMW site, then go to Edmund's and get total invoice when you are ready to sit down and finalize the deal. Have it all printed out so you do not get confused. Maco and Training will not show on Edmund's pricing. Generally, $300 + $180. These are BMW fees and are added to dealer invoice. This is a BMW fee, not a dealer fee, just like any other option. After invoice, most dealers will usually charge a prep fee. $130 is reasonable on the 135i. You will pay tax, registration, and doc fees. Doc fees of $299 are reasonable. Watch out for other fees. Some dealers will try to pad the price with all kinds of stuff, so buyer beware. I just bought a 2013 X3 at $500 over invoice and $165 prep. I just ordered a 2013 135is at $500 over invoice and $130 prep. A good dealer will show you their invoice fees so you can compare everything. Cash or financing should not change the deal. Watch trade in. They will burn you a new one there.

Quote:

Originally Posted by Hovsks

I want to purchase a BMW 135i coupe. What is the most effective way to go about negotiating a deal? How can I get the car as close to invoice pricing as possible. I would prefer not financing and definitely not leasing. Will paying with cash affect a deal in a positive way?